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Designing a framework

for IT use maturity


Project Report-MRP


Ajay Bagaria-4006/19

Mayurkumar Bhakar-4013/19

2/24/2014

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Table of Contents
Acknowledgement ........................................................................................................................................ 4
Problem Definition ........................................................................................................................................ 5
Literature Review .......................................................................................................................................... 6
Framework for evaluation of IT use maturity ............................................................................................... 8
1. IT Infrastructure: ............................................................................................................................... 8
Agility: ................................................................................................................................................... 8
Relevance of IT infrastructure ............................................................................................................... 9
2. IT People: .......................................................................................................................................... 9
Level of training given to IT people ..................................................................................................... 10
Perception of other departments about IT people ............................................................................. 10
3. Data ................................................................................................................................................. 11
Format in which data available ........................................................................................................... 12
Relevance of data to business activities ............................................................................................. 13
Data Integration .................................................................................................................................. 13
4. Process related to IT Resource management ................................................................................. 14
Data Management .............................................................................................................................. 14
Human capital management ............................................................................................................... 15
Training to end user ............................................................................................................................ 15
Resource allocation to IT infrastructure ............................................................................................. 16
5. End user computing ............................................................................................................................ 16
Goal setting & measurement .............................................................................................................. 17
Policies, plans & procedures for end user training ............................................................................. 18
Responsibility & accounting ................................................................................................................ 18
Skills & expertise ................................................................................................................................. 19
6. Application maturity ....................................................................................................................... 19
Level of interconnectedness ............................................................................................................... 20
Implementation levels of IT application ............................................................................................. 20
Evaluating ING Vysya Bank.......................................................................................................................... 20
Infrastructure .......................................................................................................................................... 20
Agility of the IT infrastructure ............................................................................................................. 20
Relevance of IT infrastructure to business.......................................................................................... 20
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IT people ................................................................................................................................................. 21
IT people training ................................................................................................................................ 21
Perception of IT people ....................................................................................................................... 21
Data 21
Format of data .................................................................................................................................... 21
Relevance of data to business activity ................................................................................................ 21
Data integration .................................................................................................................................. 21
Processes of IT resource management ................................................................................................... 22
Data management .............................................................................................................................. 22
Human capital management ............................................................................................................... 22
Resource allocation process to IT infrastructure ................................................................................ 22
Training to end users .......................................................................................................................... 23
End user maturity.................................................................................................................................... 23
Goal setting & measurement .............................................................................................................. 23
Responsibility & accountability ........................................................................................................... 23
Policies, plans & procedures for end user training ............................................................................. 24
Skills & expertise ................................................................................................................................. 24
Application maturity ............................................................................................................................... 24
Level of interconnectedness ............................................................................................................... 24
Implementation levels of IT application ............................................................................................. 24
Evaluating Eveready .................................................................................................................................... 24
Infrastructure .......................................................................................................................................... 24
Agility of the infrastructure ................................................................................................................. 24
Relevance of IT infrastructure to business.......................................................................................... 24
IT people ................................................................................................................................................. 24
Level of training given to IT people ..................................................................................................... 24
Perception of other departments about IT people ............................................................................. 25
Data 25
Format of the data .............................................................................................................................. 25
Relevance of data to business activity ................................................................................................ 25
Data integration .................................................................................................................................. 25
Process of resource management .......................................................................................................... 25
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Data management .............................................................................................................................. 25
Training to end users .......................................................................................................................... 25
Human capital management ............................................................................................................... 25
Resource allocation process to IT infrastructure ................................................................................ 26
End user maturity.................................................................................................................................... 26
Goal setting & measurement .............................................................................................................. 26
Policies, plans & procedures for end user training ............................................................................. 26
Responsibility & accounting ................................................................................................................ 26
Skills & expertise of end users ............................................................................................................ 26
Application maturity ............................................................................................................................... 26
Level of interconnectedness ............................................................................................................... 26
Implementation levels of IT application ............................................................................................. 26
Evaluating Ramco Cement .......................................................................................................................... 27
Infrastructure .......................................................................................................................................... 27
Agility .................................................................................................................................................. 27
Relevance of IT infrastructure to business: ........................................................................................ 27
People ..................................................................................................................................................... 27
Level of training given to IT people ..................................................................................................... 27
Perception of other department about IT people .............................................................................. 27
Processes related to IT resource management ...................................................................................... 27
Data management .............................................................................................................................. 27
Human capital management ............................................................................................................... 28
Resource allocation process to IT infrastructure ................................................................................ 28
training to end users ........................................................................................................................... 28
Data 28
Format of data available ..................................................................................................................... 28
Relevance of data to business activity ................................................................................................ 28
Data Integration .................................................................................................................................. 28
References .................................................................................................................................................. 29

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Acknowledgement

We are extremely grateful to Prof. Rahul Roy and Prof. Priya Seetharaman for guiding and mentoring us
throughout this project.
We would also like to thank the various organizations executives who provided us with their valuable
time & providing us with their insights into the project.


Ajay Bagaria
4006/19
Mayurkumar Bhakar
4013/19












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Problem Definition

In the past, IT has always been looked upon as a support function but nowadays things have
started to change. Organizations have realized the need for evaluating their IT use but there is
no such framework to evaluate the IT use maturity. Maturity level of IT use plays a critical role
in operational efficiency and strategy of an organization. It varies across countries, sectors and
organizations depending on requirement, availability of resources, acceptance, organization
culture and strategic fit. Understanding the IT use maturity is essential to effectively utilize the
IT potential of an organization.
Organizations have different components of IT like Data, Infrastructure, IT People, Process, IT
applications, End users etc. All these components reflect the IT usage maturity of the
organization. Depending upon the maturity among the different components the overall IT use
maturity of an organization can be evaluated. The purpose of the study is to build a
comprehensive framework for evaluating the maturity of IT use. The IT use maturity framework
in this paper provides a method for organization to evaluate their IT use maturity. IT is
developing at a very rapid rate and has become very crucial aspect for competiveness in an
industry. Organizations require IT for improving efficiency, achieving growth and achieving
competitive advantage. Knowing the IT use maturity can help firms understand where they
stand in the industry. Once an organization knows about its IT use maturity they can decide on
what steps they need to take to improve their IT use maturity and in turn enhance their
efficiency.















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Literature Review

There have been plenty of studies related to IT use maturity among the organizations. In order to
understand the maturity of the IT use it is also necessary to understand the maturity and evolution of
the organizations. Greiner (1972)-Evolution and revolution as organizations grow is one such paper
which helps in understanding the maturity of the organizations. It talks about 5 dimensions which define
the organizational maturity. The five dimensions are
Age of the organization
Size of the organization
Stages of evolution
Stages of revolution
Growth rate of the industry

Organizations go through a phase of evolution which is followed by a revolution. Depending upon these
phases the maturity of an organization can be defined in 5stages namely
Creativity
Direction
Delegation
Coordination
Collaboration

The paper is not related to IT maturity but gives an indication in defining the maturity levels of an entity.
This is the paper from where we got the idea of subdividing the parameters in order to get a more
detailed and consistent indications of IT use maturity level of an organization.

Effective use of IT also depends on how IT is aligned with strategy of the firm. According to Luftman
Alignment is the perennial business chart-topper on top-ten lists of IT issues. In his paper
Assessing Business-IT Alignment Maturity Luftman provides a comprehensive framework for
evaluation an organization business and IT alignment Maturity. According to Luftman there are six
enablers and six inhibitors which affected the success of IT and business strategy alignment. These are
senior executive support for IT, IT involved in strategy development, Understanding of business by IT
department, Business - IT partnership, demonstration of leadership by IT and how much priority s give
to IT projects.

Evaluation of a business with the help of Luftmans model provides critical Insight to the maturity of a
firms strategic alignment. In total Luftman model has 38 strategic criteria and each criteria is evaluated
using individually by a team of IT and business unit executives to determine the firms level of strategic
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maturity on this criterion using a likert scale with raking from 1 to 5. These criteria are allocated in these
six categories:
Communications Maturity
Competency/Value Measurement Maturity
Governance Maturity
Partnership Maturity
Scope & Architecture Maturity
Skills Maturity

Taking Cue from these research papers we felt that it would be appropriate to Divide IT use maturity in
various components and evaluate each component for its maturity. We find out research papers that
are available for some of the components decided.

There is one paper which talks about the maturity stages of end users-Huff, Munro, Martin (1988)
Growth stages of end user computing. It defines 5 stages of application maturity depending upon the
level of interconnectedness of the application with other components of its surrounding user computing
environment. The paper classifies the end user maturity along the same lines as application maturity
(Same stages) and describes the various characteristics of the stages























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Framework for evaluation of IT use maturity
In total model has 17 criteria and each criteria is to be evaluated using individually to determine the
firms level of strategic maturity on this criterion using a likert scale with raking from 1 to 5. These
criteria are allocated in these six categories:

1. IT Infrastructure
2. IT People
3. Data
4. Process of IT resource Management
5. IT application
6. End Users for IT department

1. IT Infrastructure: The first category in the IT use maturity framework is IT Infrastructure
maturity. It deals with the maturity level of the IT infrastructure in an organization. IT
infrastructure is backbone of IT department. To evaluate infrastructure maturity it has been
further sub divided in two criteria that are Agility of the infrastructure & relevance of IT
infrastructure to the business.



Agility: Economics scenario in which organizations are working is facing larger and frequent changes.
Various factors like globalization, changing format of marketplace and various other technological
advancements have impacted the business environment. Organizations need to have Infrastructure
which could adopt fast to changing environment without affecting the core competency of the firm. To
evaluate this we kept agility as an important attribute to find out maturity of the organization
infrastructure. For example due to change in business environment firm need to implement analytical
methods and hence there is requirement for increase in data processing capabilities. Here we will try to
see how much time firm will take to achieve this change.

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Level 1: Very slow reaction to change in business environment. Taking months to weeks to implement
changes in the current infrastructure.

Level 2: slow reaction to change in business environment. Taking weeks to implement changes in the
current infrastructure.

Level 3: Taking weeks to days to implement changes in the current infrastructure. Can be classified slow
or fast depending upon industry.

Level 4: fast reaction to change in business environment. Taking days to minute for implement changes
in the current infrastructure.

Level 5: Real time reaction to change in business environment. Taking only few minutes to implement
changes in the current infrastructure. This could be possible when most of the infrastructure is
virtualized.

Relevance of IT infrastructure: Since we are evaluating IT infrastructure use maturity we need to see
that whether the IT infrastructure is relevant for the organization . Whether the Infrastructure is helping
them to achieve their goal in more effective and efficient way
.
Level 1: No active role of IT infrastructure in the business activities. Organization would be able to
achieve their task with same efficiency even without the current IT infrastructure.
Level 2: Improve little efficiency in process of the organization. Using IT infrastructure in assisting the
clerical staff. Decision making of the organization is not effected by the IT.

Level 3: IT infrastructure plays role of business process enabler. IT Infrastructure is providing
organization with potential to deliver high performance

Level 4: Role of IT infrastructure is between process enabler and strategy driver. IT is playing role if
business enabler and also providing some insight to be implemented in the strategy of the organization.

Level 5: It plays key role in Business strategy. It provides key insight about the business scenario which
helps in guiding the strategy of organization. Company is able to leverage its IT infrastructure to
maximize current and future benefits.

2. IT People: The second category in the IT use maturity framework is IT People maturity. The
ability to use IT in an organization heavily depends of the maturity level of IT people in the
organization. Here we would like to evaluate IT people of an organization on the basis of the
training they are getting. Apart from this we would also like to see how they are perceived by
the end users and other department of the organization.
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Level of training given to IT people: This attributes determine two things. First is knowledge level of
the IT employees. IT people who have more holistic knowledge would be able to contribute in better
and significant way and hence create value for the organization. Secondly it also tries to find out the
commitment level of organization to skill development of its IT people. It enables us to determine the
culture of the organization and emphasis they give towards development of the IT employee in the
organization.

Level 1: There is no training program for the IT people in the organization. This is likely to hamper their
abilities to give required output to the organization. This may also result in people who are focused on
skill development to leave the organization.

Level 2: Ad-hoc or minimal level of training is given. This level shows very minimal effort from the
organization to train their IT people.

Level 3: People have their project specific training. This enables the IT people to perform their project
related work efficiently but still not able to have a wider view of things. They will not be able to think
out of the box to improve process or applications in the organization.

Level 4: Organization- wide standards and method deployed for training. With various competency
matrices to evaluate individuals quantitatively.

Level 5: Continuous improvement process aimed at developing intellectual property and competitive
edge.

Perception of other departments about IT people: Perception of other department plays a crucial
role in how much IT people & IT department can contribute to the organization. It shows whether IT
people are able to create trust among the other stake holders of the organization. When this
partnership evolves IT people can act both as business process and strategy drivers.
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Level 1: Other departments perceive that the role played by the IT people in the success of the
organization is Minimal. This shows that the organization believe that IT department is more of a cost
center.

Level 2: Other departments perceive that the role played by the IT department is of transactional
support. In this of organization other department sees IT as a support system and hence IT department
is not able to play any key role.

Level 3: Other departments perceive that the IT department in some cases can give key insights. Other
departments have started leveraging IT on small scale to enhance their productivity.

Level 4: Other departments view IT department as a valued service provider. They are leveraging IT to
maximize their efficiency. But still the relation is one sided are there is lack of trust as goals are not
aligned.

Level 5: There is Partnership kind of relation between the IT department and other key stake holder.
Goals are aligned with other which create trust among other departments and IT department.

3. Data: One of the basic requirements for using IT in the organization is availability of data.
Making decision based on poor quality data can lead to wrong conclusion and hence effecting
the IT capability of the organization. Three important parameters to evaluate data are format of
available data, how much the data is relevant to our core business activity and how fast the data
is integrated in system so that we can make decisions based on that.
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Format in which data available: With the availability of data we also need to see the format in
which data is available. An organization having all the IT capabilities but not having data in correct
format will be useless. It important for the organization to have data in right format so that they can
carry out required analysis.

Level 1: Very trivial organization where data is only available in hard copy in paper format. For example
Hand written sales receipt.

Level 2: Some of the data is available in digital format and some still in hard copy in paper format. These
organizations can apply analytics on available digital data but their scope will be limited as some
complementary data can be in paper format.

Level 3: Data is available in digital format but there are some anomalies present which can limit the
reliability of IT systems in the organization. These kind of data anomalies can occur from data
redundancy and partial update.

Level 4: Data is ready for subsequent analysis and the output generated with the help of this data will be
reliable. But our capabilities will be hampered due to lack of integration. Use of applications which will
require data from different sources will be limited.

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Level 5: Data has no anomalies and is completely integrated systems. With this of data format
organisation can fully utilize its IT capabilities.

Relevance of data to business activities: While evaluating the data we to see that the data is
relevant for our business. We will classify the data relevancy according to level of insights it can
generate which can be used by organization.

Level 1: Data ad hoc in nature. Data available contains no relevant or useful information for the
organization to act upon

Level 2: Data is used for transaction support and we dont have any capabilities to extract information
out of the data.

Level 3: Data is used for operational Support. Data is categorized and explained in meaningful ways
which will be used to generate operational insights. I can be also used to explain the relationships and
interdependencies among the data.

Level 4: Data is used for management decision making. We can conduct historical or retroactive analysis
as well as predictive analysis to make managerial level decisions.

Level 5: Data is for strategic planning and is providing competitive advantage. This kind of company is
likely to have entire business model is built around its analytical models.

Data Integration: Current business scenario being highly technology driven and competitive so having
complete insights quickly is necessary. This can provide competitive advantage as the organization will
be able to respond faster as compared to its competitors. With data integration we want to see whether
we have integrated data and is it updated in real time or not.

Level 1: organization lags the data processing capabilities and hence dont do any data integration.

Level 2: There is no data integration and data is processed in isolation.

Level 3: Firm has achieved data integration but currently it is done manually so the time lag for
processing data is high.

Level 4: Data is automatically integrated in the data processing. But there is delay in processing data.

Level 5: Data is updated and integrated in real time which make sure there is no delay in data
processing.

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4. Process related to IT Resource management: An organization need to make sure
that they are able to maintain and develop their IT resources to be able to successfully
implement their IT strategy. While managing resources of organization a firm needs to take a
long term view. Organization need to align resource management to their organization strategy.
Four important resources which we will evaluate are Data Management, Human capital
management, level of training provided to end users and resource allocation process to IT
infrastructure.



Data Management: As we have already seen that data plays a very crucial role while deciding the IT
use maturity of an organization. A firm needs to decide on their process on data management
depending upon their usage of data.

Level 1: Companies dont have any defined data management process and they use ad-hoc approach

Level 2: Organization follow reactive approach where they respond to unexpected event related to data
management only after it has occurred.

Level 3: Organization have fixed data management process which are to be strictly adhered. This limits
the scope of evolution of standards resulting in stagnation.

Level 4: Organization have defined data management process but flexibility is encouraged depending on
cases. This leaves some space for IT department to evolve its data management process

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Level 5: Enough flexibility is offered in data management process which results in evolution of data
management process. This help organization to improve on its data management process with changes
in external environment or the change in source of data.

Human capital management: More mature IT organization will do advance planning on how to
maintain their IT human capital. For this they need to plan for how to take interview, their promotion
policy and see that they have back up plan for risky scenario.

Level 1: Unstructured Interviewing. Organization has Non systemic staffing and resourcing.

Level 2: structured Interviewing for lower level .Systemic staffing and resourcing on the lower level

Level 3: structured Interviewing for lower level and middle level .Systemic staffing and resourcing with
future planning of required staff

Level 4: Organization has planned for succession at the top level. They have both emergency CIO which
would take position for short period of time if something happens to current CIO. And one person
groomed for CIO who will take this position in long ter.

Level 5: Workforce planning is a dynamic process and organization needs will evolve according to
change in priorities and capabilities. It is important for an organization to have planned for future
workforce development.
Training to end user: Need user are required to be trained to efficiently use the available tools and
application. We will try to evaluate the process in an organization to train their end users.

Level 1: Very little training is provided from organization and user is required to self-instruct.

Level 2: Routine introductory courses are floated which provide basis insights about the tools and
applications end user is required to use

Level 3: Routine offering of introductory and advanced courses which will enable end user to use tools
and applications effectively

Level 4: Apart from training provided about the tools and application end users will used, they are also
provided training about integration of tools.

Level 5: End users are provided with sufficient training in application development which will help
them modify their applications according to their needs.

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Resource allocation to IT infrastructure: We need to see the process by which organization decide
to maintain or develop its IT infrastructure. Process of resource allocation to IT plays a key role in
shaping of future IT infrastructure.
Level 1: Ad-hoc approach
Level 2: It is decided by IT department on their level resulting in lack of strategic planning in future
infrastructure development
Level 3: Decided by it department in consultation with the IT head who can provide some strategic
inputs
Level 4: Decided by IT department in consultation with top management and IT head covering future
needs but still lacking other stakeholders such as end user point of view
Level 5: Decision making involves input from various stake holders and incorporating their views while
making final decision for IT infrastructure.
5. End user computing
The fifth category in the IT use maturity framework is end user maturity. It deals with the maturity level
of the end users of the organization. To evaluate End user maturity it has been further sub divided into 4
subcategories
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Goal setting & measurement

Level 1: some end user goals are set and monitored inconsistently; end user goals are unclear or vaguely
defined
Level 2: Performance of end user is monitored informally, IT leadership provides basic reports to senior
leadership about the state of end user, and Initial goals for end user are defined, but not clearly linked
to educational requirements or Jurisdiction goals.
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Level 3: End user is monitored regularly, targets and thresholds for end user have been defined and
documented, IT staff provides regular reports to IT leadership about end user, IT leadership provides
regular reports to senior leadership about end user
Level 4: end user metrics are formally defined and approved; measures of the effectiveness of end user
are used to inform decision making and continuous Improvement.
Level 5: IT leadership has an advanced and forward-looking understanding of end user requirements
Policies, plans & procedures for end user training

Level 1: End user training activities occur in isolation and are based upon individual IT staff practices,
policies and procedures for end user training have not been defined.
Level 2: Common and informal policies and procedures for end user training are defined, but not
documented, compliance with end user training policies and procedures is left to the individuals
discretion
Level 3: Formal policies and procedures for key end user training processes have been defined,
documented and communicated, policies and procedures are based upon generally accepted good
practices, and end user training procedures include steps to develop the training plan, deliver training &
evaluate the training
Level 4: Formal policies and procedures for all end user training processes are defined, documented and
regularly reviewed, senior leadership approves policies and procedures for end user training, end user
training plans are consistently reviewed before, during and after Implementation.
Level 5: The end user training plan supports implementation of the IT Strategic Plan, generally accepted
best practices and standards for end user training are used to inform policy and procedure
Development, exceptions to end user training policies and procedures are noticed and corrective action
is taken, End user training policies and procedures are regularly reviewed and improved.
Responsibility & accounting

Level 1: Allocation of responsibility is assumed by end user
Level 2: Allocation of responsibility and accountability is done informally; there is confusion about who
is responsible and accountable when Issues arise.
Level3: Accountability and responsibility for end user have been formally assigned and documented; End
user may not have sufficient authority to fulfill their responsibilities
Level 4: End users have the level of authority required to fulfill their responsibilities.
Level 5: End user is empowered to make decisions and to take action.
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Skills & expertise
Level 1: End user is not technically skilled, Dependent on the IT staff support to help with the basic tools,
interaction with the IT department is very high
Level 2: End user has some basic skills about the tools but requires constant support from IT department
for advanced tools and techniques
Level 3: End user has some knowledge of advanced tools and techniques, comes from an IT background,
interaction with the IT department is frequent for advanced tools help
Level 4: End user is highly experienced, comes from an IT background, minimal, interaction with the IT
department, but has not doesnt have the skills to develop its own tools and applications
Level 5: End user is technically highly skills, almost no interaction with the IT department, can develop
its own tools and applications
6. Application maturity
The sixth category in the IT use maturity framework is application maturity. It deals with the maturity
level of application in the organization. To evaluate application maturity it has been further sub divided
into 2 subcategories

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Level of interconnectedness
Level 1: Little or no exchange of data with other applications
Level 2: Standalone applications, data entered into an application is keyed in manually
Level 3: Data is transferred from application to application by manual file interchange
Level 4: Applications connect with one or more corporate databases using automated processes
designed into the applications
Level 5: Applications are part of a network which accesses data distributed throughout the organization;
distinctions concerning the location of data disappear
Implementation levels of IT application

Level 1: For transactional purposes only
Level 2: Simple application usage in sales & customer feedback
Level 3: Usage in R & D applications such as CAD & CAM &
Level 4: To get key customer insights by utilizing the database
Level 5: To drive the business strategies

Evaluating ING Vysya Bank
Infrastructure
Agility of the IT infrastructure
Keeping end user infrastructure aside, they divide infrastructure into processing power &storage. They
use private cloud.
From this we can say that they are in the 3
rd
level of maturity as they can bring in some application for
business needs within weeks to days.
Relevance of IT infrastructure to business
As already it is business strategy enabler. So they are in the fifth level of maturity
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IT people
IT people training
Depends upon the role done by the IT people in the organization, sometimes functional & sometimes
project based training is provided. Training is provided is to run the tools & technologies to automate
some of the work that they are doing. For e.g. Training can be provided if they want to implement a
total ITIL management framework tool .This requires using softwares from HP, BMC remedy etc. which
requires project specific training. Also, for eg. if they want to get into predictive management, they
require training specifically for such projects. In other words, instead of figuring about an incident &
then reacting to it, they can figure out that the incident is likely to happen by using predictive
management. There are tools & techniques which are readily available which use the past data analysis
which require some training to run them. Internal training for business & usual kind of stuff & for
transformational projects external training is required.
So as per our framework they fall in the third level of maturity as the training is mostly project based.
Perception of IT people
The general perception of the IT department is that they are forward looking. They go to their end users
to know their needs, try to fulfill them within their budget & other limitations. They are given some
particular tasks which they need to fulfill within this budget & are evaluated by their stakeholders on the
basis of that. For eg. In 2006-2007, the IT department was the worst performing department. The
customer satisfaction scores were really pathetic & it can be said that the IT department sent the Banks
strategic execution by about half a decade. The IT department was considered monolithic as it just
reacted to some problem and was trying to change, trying to do maintenance, trying to do service
quality reporting etc. all at the same time. The board of governors regularly interacts with the IT
department to figure out what is the strategy & what are the consequences of the strategy.
So as per our framework they fall in the third level of maturity as the IT department is viewed as
emerging valued service provider.
From this we can say that it is 2
nd
level of maturity as they provide the routine training to their end users.
Data
Format of data
They operate in a completely digitalized environment & they have an integrated system. So they are in
the fifth level of maturity
Relevance of data to business activity
As already mentioned they use their data for strategic planning so they are in the fifth level of maturity.
Data integration
They have real time data integration. They have data virtualization which means that their data will
actually stay in one place but they can see a virtual copy of data without actually copying it. For E.g.
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Account balance. One goes to internet banking to see the account balance. You can do it by not keeping
the account balance in internet banking system, but to fetch it in real time from core banking system.

From this we can say that they are in the 5
th
level of maturity as they have real time data integration.
Processes of IT resource management
Data management
Depending upon the type of data (raw data, static data, derived data), the IT department has the
flexibility on its usage. They can use it for reactive purposes or for predictive purposes. For e.g. They can
use data to find out key insights which they normally wouldnt have done, by using data analytics tools.
For eg. By analyzing the ATM transactions they figured out that the transactions were done by some
smugglers on the Bangladesh border by looking at the transaction history & frequency.
So we can say that they fall in the 4
th
level of maturity as Data management standards are defined but
flexibility is encouraged.
Human capital management
They have people mostly divided under two departments 1) Analytics department which have data
architects & data analysts in the department. 2) Architecture Department, which has got infrastructure
architecture, application architecture & systems analyst under it. They first decide which part of the
activity needs to be done by the organization & which part of it is commodity. On the other hand, if it is
possible to give strategic advantage to the bank, then the bank needs to do it in house. For e.g.
Enterprise architecture is not commodity, it is strategic. So it needs to be done by the organizational
staff. On the other hand, running a day to day process (maintaining PCs etc) is a commodity work which
can be outsourced. So there are managers who oversee this run function of the work. Their job is to
optimize this process management work. The change function mainly involves Business analysis, IT
analysis & project management. There are also roles like procurement manager, risk analyst etc. They
have an emergency successor & long term successor. For in case of emergency there should be someone
who can look after the work for 6 months. The long term successor can come from outside the
company.

From this we can say that the firm is in the fourth level of maturity as it carries out succession planning
for top level.
Resource allocation process to IT infrastructure

First they do a demand generation process. They have an annual meeting & prepare a three year rolling
plan which they fine tune by interaction with the customers (other departments). For e.g., In 2007, they
figured out that internet banking for corporate banking is going to be really important. They could see
this coming based on their conversations with other departments, but were still two years away. So
getting hold of analysts, engineers etc was one part while other part which was relatively subtle was to
understand whether they will be able to deploy internet banking which will be using data from multiple
systems, some in real time, some in batch mode etc. The question was whether they can they do that.
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The answer was no. So if they need to do this project after two years they need to get something called
EIA (Enterprise integration architecture) as an IT perquisite. For this they figured out that they need
several intermediate IT components which are missing after conversation with other business
counterparts. Based upon these conversations they justify the investment plans to get the required
infrastructure. Similarly they might not need a data ware house today, but based on the conversation
with other business counterparts they know that they would require predictive analysis after two years
for which they need to start building their data warehouse now. So they roll up a 3 year plan & keep
reviewing their plan periodically. One cannot change the applications, infrastructure in short span of
time, whereas the business demands can require you to build something in the next 7 days. So you need
to have intermediate technologies which will make things flexible. For e.g. Data warehouse makes data
flexible, EIA makes applications to work together easier. So once you do such exercise, allocating the
resources becomes easier.

So we can say that it is in the 3
rd
stage of maturity as it utilizes domain centric management tools for
allocation of resources to IT infrastructure.
Training to end users
End user training of end user tools (excel, PowerPoint, etc) is almost nil as they expect their end users to
be comfortable with these tools while hiring them. They might require training for using enterprise
applications. In such cases, software manufacturers along with the department train 50 key people who
will in turn help other people in the organization. Training related to security purposes is given more
focus in the organization. The IT department is not responsible for training but it is responsible for
providing the framework & tools required for training.

End user maturity
Goal setting & measurement
They classify their end users & categorize them depending upon their importance to the organization.
For e.g. they give more importance to certain branches & therefore their end users & provide them with
the best equipments.

From this we can say that they are in the 2
nd
level of maturity as some end user goals are set and
monitored inconsistently & are unclear or vaguely defined
Responsibility & accountability
They classify their end users where they fall. For Eg. If the end user has forgotten his username &
password the accountability lies with the end users & the responsibility lies with the service desk.

So we can say that they are in 4
th
level of maturity as they have the level of authority to fulfill their
responsibilities.
24

Policies, plans & procedures for end user training
They are in the 2
nd
stage of maturity as Common and informal policies and procedures for end user
training are defined, but not documented properly.
Skills & expertise
We can say that they are in 4
th
level of maturity as End user has some knowledge of advanced tools and
techniques, comes from an IT background, interaction with the IT department is frequent for advanced
tools help
Application maturity
Level of interconnectedness
They are in the fifth level of maturity as Applications are part of a network which accesses data
distributed throughout the organization; distinctions concerning the location of data disappear
Implementation levels of IT application
They are in the 4
th
level of maturity as they have recently using their database to get key consumer
insights.
Evaluating Eveready
Infrastructure
Agility of the infrastructure
The up gradation doesnt take much time. It depends upon the version. If its totally new
version, it will take about 2-3 months, but a total re-implementation can take anywhere from 6
months to one year. As the up gradation mostly takes 2-3 months we can say that the
organization is in the first level of maturity.
Relevance of IT infrastructure to business
IT helps in automating the business processes & acts as a business enabler so it can be said that
the organization is in the 3
rd
level of maturity
IT people
Level of training given to IT people
The training provided to IT people is basically need based. For eg. When they implemented the
oracle process training was given to the IT people in oracle for the given modules. Similarly
when they implemented the supply chain solutions then they were given training in supply chain
modules. When they were implementing BI tools they were trained on BI. Mostly the training is
provided by the external solution provider. From this we can say that the organization is in the
3
rd
stage of maturity as training provided is mostly project based.

25

Perception of other departments about IT people
It is not perceived as valued partnership. It is transaction along with the perception of a valued
service provider. So we can say that the organization is in the 3
rd
stage of maturity as it has
emerged as a valued service provider.


Data
Format of the data
The entire data is in digital format. There are no hard copies, except for special government
purposes. It can be in the system or it can be outside the system. There is data from social
media, emails & there is data from integrated systems. From this we can say that the
organization is in 5
th
level of maturity as their data is integrated into the system.
Relevance of data to business activity
Data is used for management decision making & also for strategic planning so we can say that
the organization is in the 5
th
level of maturity.

Data integration
From 2005 onwards data integration is real time so we can say that the organization is in the
fifth level of maturity.

Process of resource management
Data management
The data management processes are in place but the data management processes are also
evolving because the sources are changing. There is data from mobile devices, social media,
emails etc. As more & more sources are getting added on , the data validation processes are
also changing. So we can see that the organization is in 5
th
level of maturity as the data
management standards are continuously evolving.
Training to end users
End user training is done as per end user training calendar. As there are lot of people coming in
& going out of the organization, so training is a continuous process which is done every quarter.
So we can say that the organization is in the 2
nd
level of maturity.
Human capital management
Yes, there is succession planning process in the organization. The number of people hired in the
IT department depends upon the manpower sanctioned for IT. So we can say that the
organization is in the 4
th
level of maturity as the as it carries out succession planning for top level
26

Resource allocation process to IT infrastructure
Budget approvals are taken by the IT department as & when required, based on project & the
need. So we can say that the organization is in the 3rd level of maturity.

End user maturity
Goal setting & measurement
The end user is given goals depending upon the level of the end user. For managers & above
posts the goals are set at the beginning of the year & they are reviewed after every six months.
They are more towards the alignment of the business. For end users lower down the lines the
goals are more generic in nature. So from this we can say that the organization is in the second
level of maturity.
Policies, plans & procedures for end user training
There are documentations which are available online along with the classroom sessions & web
sessions which can be downloaded for self-training purposes. The documentation is done by the
IT department & then circulated. So from this we can say that the organization is in the 3
rd
level
of maturity.
Responsibility & accounting
Decisions are only taken by department managers & the end users are not given much
authority. So we can say that the organization is in the 1
st
level of maturity.
Skills & expertise of end users
Most of the end users dont have an IT background & the end users are hired by the particular
departments depending upon the skills required by the particular department. IT is not a
perquisite. So we can say that the organization is in the 2
nd
level of IT maturity.
Application maturity
Level of interconnectedness
There is one application that runs, which is an integrated application end to end. So there is no
interconnection required. So we can say that the organization is in the 2
nd
level of maturity.
Implementation levels of IT application
As the organizations uses the IT applications for data mining & getting consumer insights it can
be said that it is in the 4
th
level of maturity.
27

Evaluating Ramco Cement
Infrastructure
Agility
Changing the infrastructure can be mainly divided into the following two processes
1) Conceptual Part: Which is simple & is done immediately
2) Internal approvals: Online approvals by using e mails etc when the decision maker cannot be
reached in person. Digital signatures are used. Approval process is digitalized as CEO uses IPAD to
make decisions while he is travelling. There is a dashboard where you can see the status of the decision
to be made.Conceptualization & getting internal approvals take 2 to 3 days only. Sometimes problem can
occur if the company doesnt have the budget for making changes in the applications.
Implementation i.e the integration of the new applications with the ERP takes 2 to 3 days. But sometimes
can take 2-3 weeks when more physical work ( for eg laying 2-3 km line) is required. So we can say that
the organization is in 3
rd
level of IT maturity
Relevance of IT infrastructure to business:
The decision to go from a decentralized ERP to centralized ERP is a strategic decision because more
transparency & objectivity in the data for better decision making. If different ERPs are used at different
places then will not be standardization across the data from different ERPs. If there is a problem
anywhere in the system, then it needs to be sorted out very quickly as everything is synchronized. So we
can say that organization is in 5
th
level of IT maturity.
People
Level of training given to IT people
Two type of training given to IT people. 1
st
technical skill assistance and second is human
interaction skills. Level of IT people is from junior level to managerial level. Lower level people
given more technical and project related training. For example how to manage data server for a
person responsible for managing data server. For middle and top level managers more of
strategic and human relations skills. Programs are focused on how IT managers communicate
value to other stake holders. So for junior level IT people Level 3 and for Middle and top level it
people level 4.
Perception of other department about IT people
IT is considered very important at Ramco cements. IT is given a strategic role in the organisation
and people see IT as a valued service provider. For example in a Hence perception of other
department regarding IT is level 4.
Processes related to IT resource management
Data management
Data management process is strictly defined in the organization and the organization adhere to them.
So we can say that they are in the 3
rd
level of IT maturity
28

Human capital management
Company has already planned what is going to happen in next five years. There is a continuous
succession planning. And people are groomed for their next role. Succesion planning is done for top two
three roles. Hence level 4
Resource allocation process to IT infrastructure
Company is promoting new technologies. Reversal of IT technologies not possible. For example when
we move from sequel server 8 to sequel server 12 and suppose there is some issue. But still company is
encouraging adoption of new technology in spite of risk involved. Company believes it has innovative
culture. Conservative in terms of financial approach but in terms of IT Ramco wants to be better than its
competitors. In short Ramco is old organization with modern outlook.So we can say that the
organization is in the 5
th
level of IT maturity.
training to end users
As there is routine training to the end users we can say that they are in the 2
nd
level of IT maturity
Data
Format of data available
They have data which is ready for subsequent analysis and no data is manually entered in system. They
use ERP data. For eg if any invoice is created data is directly entered in system. All transactions that take
place in the organization are recorded in digital data format using ERP. Earlier different application had
different data source which resulted in confusion while making decision at top level. But after ERP
implementation data is completely integrated in system. Various other example given how they
generate data automatically and is integrated in real time. Hence level 5
Relevance of data to business activity
Management uses data for decision. It uses data to find out which areas to focus more, which are the
areas where to start a new plant. With the help of data and IT Integration Company is available to
improve its profitability. Level 4
Data Integration
Plant level data integration is done real time but whole company level data integration is done at the
end of day. Due to lack of location of cement plants which is mainly in areas which are not that much
developed. Level 4





29

References
1. Luftman, J. (2000), Assessing Business IT Alignment Maturity, Communication of the
association for information systems, Vol 4 (14).

2. Mark C. Paulk, Bill Curtis, Mary Beth Chrissis, Charles Weber (2002), Capability Maturity
Model for Software, Version 1.1, pg 1 to 13 http://www.sei.cmu.edu/reports/93tr024.pdf

3. Gunasekaran, Love, Rahimi & Miele (2001), A model for investment justification in
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http://www.umassd.edu/media/umassdartmouth/businessinnovationresearchcente
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4. Newman & Logan (2008), Gartner Introduces the EIM Maturity Model, pg 1-8
http://www.eurim.org.uk/activities/ig/voi/Gartner_Introduces_The_EIM_MM.pdf

5. http://eprints.ibu.edu.ba/214/1/ISSD2009-MANAGEMENT_p259-p264.pdf

6. http://www.pitt.edu/~ckemerer/CK%20research%20papers/AgencyTheoryViewMgtEndUse
r Computing_GurbaxaniKemerer90.pdf

7. http://www.change-management.com/prosci-cm-maturity-model-writeup.pdf

8. The HR Maturity Matrix - Steve Flynn

9. introducing_the_gartner_it_iInfrastructure+and_Operations_1479621.pdf

10. Deloittes data maturity assessmenthttp://dataqualitybook.com/kii-content/Practitioners-
Guide-to-Data-Quality.pdf